The Finance Act, 2016 has
made a very important amendment to section 143(1) of Income Tax Act, 1961,
whereby the scope of prima facie adjustments u/s 143(1) has been enhanced while
processing the returns. The following four sub-cluases and two provisos to the
clause (a) of Section 143(1) have been added to allow for the following
adjustments also while processing the returns:

"(iii) disallowance of
loss claimed, if return of previous year for which set off of loss is claimed
was furnished beyond the due date specified under section 139(1);

(iv) disallowance of
expenditure indicated in the the audit report but not taken into the account in
computing the total income in the return;

(vi) addition of incopme
appearing in form 26AS or form 16A or Form 16 which has not been included in
computing the total income in the return:

Provided that no such
adjustments shall be made unless an intimation is given to the assesseeof such
adjustments either in writting or in electric mode:

Provided further that the
response received from the assessee, if any, shall be considered before making
any adjustment, and in a case where no response is received within 30 days of
the issue of intimation, such adjustments shall be made."

Thus before filing your
return you must check your 26AS form and audit report as also the dates on
which your returns have been filed. Otherwise the return would be processed by
addition to your income as per form 26AS or after disallowing the set off of
losses, expenditures and deductions which you failed to do in the return of
income filed.

WARNING

Nobody is permitted to copy or publish the articles existing on this blog on any website or on any other media without my express permission.

Total Pageviews

Disclaimer

No one is responsible for any claims if somebody finds that the information/opinions provided in this blog is incorrect and the blog is meant only to share knowledge and exchange views in a meaningful manner.